Scott Harris can invest $7,000 in a 1-year CD that earns interest at an annual rate of 4 percent compounded monthly. The amount
per $1.00 is 1.040742. He can also invest $7,000 in a 1-year CD at annual rate of 4 percent compounded quarterly. The amount per $1.00 is 1.040604. What is the difference in the amount of interest earned for each investment? A) $0.96
B) $0.81
C) $0.87
D) $0.88
